Poland Wants Flexible Russian Gas Deal, Has Eyes on Shale Gas

Poland wants a flexible long-term agreement for natural gas deliveries from Russia in order to be able to reduce its gas imports from the east should it identify shale gas deposits or gain access to natural gas from other suppliers, Polish Treasury Minister Aleksander Grad said Wednesday.

“The deal with Russia should give flexibility so that, in the years when we may have shale gas or deliveries from other sources, we may be able to enter the Polish market and to export domestically produced gas through interconnecting pipelines,” he told the business channel TVN CNBC at an economic forum in Krynica, southern Poland.

“We have the [liquefied natural gas] terminal on the horizon in 2014, which will diversify supplies,” he added. “In two years from now, we’ll know if and how much shale gas we have. [...] We’d all like shale gas deposits to be as big as possible, it’s a great chance for us.”

Poland heavily depends on gas supplies from Russia and is currently negotiating a revised gas contract that would extend the existing deal until 2037. Late last year Poland and Russia announced the completion of negotiations, but the agreement remains unsigned and its exact details undisclosed to the public.

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